Charges filed vs former Securities and Exchange Commission executive

MANILA, Philippines - The National Bureau of Investigation (NBI) has filed with the Department of Justice (DOJ) graft charges against former Securities and Exchange Commission (SEC) commissioner Jesus Enriquez Martinez, his son Jesus Gianpaolo Martinez, and Legacy Group owner Celso de los Angeles.

In a 16-page report to Justice Secretary Raul Gonzalez, Victor Bessat, NBI deputy director for special investigation services, said Martinez, his son Gianpaolo and De los Angeles committed violations of Republic Act 3019, or the Anti-Graft and Corrupt Practices Act.

The charges were filed on March 26.

The NBI report also recommended the filing of charges for violation of RA 6713, otherwise known as An Act Establishing a Code of Conduct and Ethical Standards for Public, as well as Indirect Bribery, or violation of Article 211 of the Revised Penal Code (RPC).

A team of agents and special investigators from the NBI Special Action Unit (SAU) headed by Angelito Magno was directed to investigate the case on March 11, 2009.

The NBI, in its conclusion, said Martinez committed the crime of graft.

“In two separate acts, Martinez, as a commissioner of the SEC in-charge of the pre-need industry, requested and received gifts for himself and for his son from an entity engaged in the industry in which he, in his official capacity, has the power to regulate or intervene,” said the NBI report.

The NBI said Martinez received from Carolina Hinola the amount of P1,475,000.00 allegedly for the payment of the Ford Expedition vehicle and Rolex watch which De los Angeles supposedly bought from Martinez.

Hinola was a former chief operating officer of Legacy Consolidated Plans Inc. (LCPI). She was brought in as a witness by the NBI in the investigation.

The NBI said Martinez received the cash without consideration and merely came up with an alibi of a “supposed sale.”

“The circumstance whereby the vehicle was eventually found further proves that the alleged sale of the vehicle and watch was just a cover-up to protect Martinez,” the report read.

The NBI also said that the vehicle was originally purchased for a lower price of P630,000 and could not have been sold for more than double the amount even if a Rolex watch is supposedly included in the sale.

The vehicle was also originally registered to Spin Management Group Inc., represented by Martinez’s son Gianpaolo, and that no such sale had reportedly happened between Spin and Rural Bank of San Jose (RBSJ), which De los Angeles owns.

The NBI also reported the purchase of a house and lot using funds of Legacy Consolidated Plans Inc. (LCPI), another company of De los Angeles, in favor of Gianpaolo.

“There were five checks totaling to five million pesos that were prepared for the transaction involving the transfer of the property in question from the original owner to Gianpaolo,” said the NBI.

The pieces of evidence, the NBI said, also show that funds paid for the expenses in the transfer of the property in question came from the funds of LCPI.

“The fact that the use of LCPI funds was not authorized by any board resolution and that the property was never registered under the name of the LCPI proves that De los Angeles ordered the use of the LCPI funds for the purchase of the property as a gift for (Gianpaolo) and which Martinez demanded,” said the NBI.

Namnama Pasetes-Santos, former LCPI chief finance officer, was also used by the NBI as a witness in the questionable property sale transaction.

The NBI, in their report, said De los Angeles and Gianpaolo were also liable for violation of RA 3019.

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